- The international banker advises youth to find better things to do than trying to create money.
- Earlier this year Agustin called Bitcoin “a bubble, a Ponzi scheme, and an environmental disaster.”
- His bank makes a great deal of money in fees from international transactions
The general manager of Bank for International Settlements (BIS), Agustin Carstens, told an audience in Miami in early November that prolonged use of cryptocurrency is unwise.
The BIS Manager has his say on Bitcoin
For many crypto enthusiasts, Bitcoin and other digital assets are financial investment opportunities for making profits. However, the case is different with the newly dubbed general manager of Bank for International Settlements, BIS, who recently termed them as software algorithms. The Mexican economist stated:
“No cryptocurrency is a true unit of account or a payment instrument, and we have seen this year that they are a poor store of value. Buyers of cryptocurrencies are buying into nothing more than a software algorithm.”
He supported his claims by noting the dramatic decrease in prices of these digital cryptocurrencies. He said that these cryptocurrencies don’t play the same role as money hence they couldn’t be called currencies.
Nevertheless, it wasn’t the first instance that the BIS executive came out strongly against the digital currencies. Earlier in 2018, Agustin termed Bitcoin as “a bubble, a Ponzi scheme, and an environmental disaster.”
Praises central banks
The longtime governor didn’t hold back from endorsing central banks across the world for their continued struggle and devotion to making these institutions “trustworthy and efficient.”
The former governor to the Mexican bank highlighted details about his banking career by saying, safeguarding people’s money and guarding the health of the country’s economic climate is vitally important.
During a recent interview with Swiss German news firm, Carstens adjured the youth to quit trying to “create money.” He instead urged them to put more effort into other sectors that would make the world a better place. The BIS executive noted that “it’s a fallacy to think money can be created from nothing.”
Which of course is rich, coming from a banker.